Turkey’s Monitoring Experience

Fatih DönmezFormer EMRA Commissioner

General framework

• A general monitoring framework detailing:– What to monitor? – How to monitor?– How to evaluate?

What to monitor?

Ensure minimum level of quality, improvements? QualityQuality

Well-functioning market, generation adequacy

Ensure compliance with the legislation

MarketMarket

Licence Compliance

Licence Compliance

Dimension of monitoring

Market monitoring

• Market opening• Switching• TPA• Interconnection• Security of supply situation• Balancing arrangements• Concentration • Wholesale market• End-user prices• Etc.

License compliance monitoring

• Spot checks and legal checks• Information to customers• Reporting mandates to regulator• Limitations to market power abuse• Unbundling• Non-discriminatory conduct• Supervising & controlling infrastructure

Quality monitoring

• Commercial quality– Responding to customer requests (access,

objection to bill, etc.) within standardized time and quality

• Supply continuity– SAIFI– SAIDI

• Technical quality

How to monitor?

How to evaluate?• Define a data set & confidentiality of each type of information

& collection frequency & ensure reliability of data• Sustain continuity of data flow & measurement of indicators• Benchmark your processes & adapt others experiences &

approaches • Establish a competent organization & delegate tasks to other

agents where possible• Benefit from templates & IT services• Consider the use of different benchmarking tools for analysis• Use of applicable statistical methods & approaches• Made publicly available what you produce (let the market

judges you)

Reporting

• Key aspect of all monitoring activities. – Different reports/analysis should be made

available to different parties:• Internal management• Public• Market participants• TSO• Competition authority• Ministry

ConclusionNo universal approach or no perfect tools for

monitoring!Better to combine different approaches to obtain

significant insights on how energy markets are functioning!

No need to reinvent the wheel, learn from others experience and especially avoid mistake made

elsewhere!Better to define a crucial role to customers!